Otedola Strengthens Control of First HoldCo with New Investment
- Femi Otedola has boosted the holding of First HoldCo Plc with 680 million shares acquired for close to N29.6bn
- The shares were snapped up through a private placement at N44/share, which is below market closing prices
- The move cements Otedola as one of the major shareholders in First HoldCo as part of ongoing capital-raising plan
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
First HoldCo Plc chairman, Femi Otedola, has continued to cement his stake in the company following his acquisition of approximately 680.8 million additional shares through a private placement at an estimated cost of N29.6 billion.
The transaction is expected to significantly strengthen his holdings in the company as First HoldCo continues its equity capital program.
Source: UGC
Otedola increases control of First Bank
TheCable reports that the transaction stated that the private placement was arranged at N44 per share, which was below the market price of N61 at the close of trading on Wednesday, June 17, 2026, drawing in strategic investors.
It is reported that nearly 90% of shares sold in the private placement offer were acquired by Otedola and an institutional investor.
The private placement offer size was around N45 billion.
A person familiar with the investment said:
“The private placement has been completed, and Mr Otedola has acquired roughly 680.8 million shares at roughly N30 billion in the bank (HoldCo), whereas an institutional investor, who is also shareholder acquired most of the remaining.”
With this latest purchase, the total share capital of First HoldCo, including previous rounds of funding, has climbed to approximately N525.6 billion.
This is higher than Nigeria’s apex bank’s stipulated N500 billion regulatory minimum capital requirement for banks, with the purpose of shoring up capital in its subsidiary First Bank of Nigeria (FBN).
First Bank raises capital
The private placement is part of an ambitious capital raising exercise, which has seen the billionaire become the largest shareholder, Punch reports.
In May, Otedola became the largest shareholder with about 549.53 million shares, equivalent to N43.41 billion, through its investment vehicle, Calvados Global Services Limited.
Following this acquisition, he had circa 9.29 billion shares
Source: Facebook
The First HoldCo’s ongoing Private Placement Program aims to raise a sum of N1 trillion of fresh capital.
According to an approval at its AGM on May 15, shareholders greenlit a plan to raise to N253.09 billion by way of equity instruments, including through an offer for sale, Rights Issues, private placements and bonus issues in domestic and international capital markets.
First Bank’s parent company completes sale of subsidiary
Earlier, Legit.ng reported that First HoldCo Plc has completed the divestment of its merchant banking subsidiary, FBNQuest Merchant Bank Limited, selling its entire stake to EverQuest Group.
The parent company of First Bank of Nigeria said the transaction is part of a strategic plan to optimise capital allocation, improve capital efficiency and support growth in its core commercial banking operations.
EverQuest Acquisition LLP, which emerged as the preferred bidder after a competitive selection process, is a consortium of investment and financial services firms.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
